What is a purchase return, Basic Statistics



What is a purchase return?

A buy purchase return occurs when a buyer profits products that it has bought from a provider.

Under the regular inventory system, the cost of the products that was returned is recorded as 1) a credit score to the common journal consideration Purchase Returns or the consideration Purchase Returns and Considerations, and 2) a charge to Records Due. (The supplier/seller will record the purchase return with a charge to Sales Returns and a credit score to Records Receivable.)

The credit score stability in the Purchase Returns consideration will partially offset the charge stability in the consideration Purchases.

Since the purchase return of bought products is time intensive (and therefore costly), having the separate common journal consideration Purchase Returns allows managers to quickly see the value of the profits.

Expertsmind.com offers unique accounting assignment help


Posted Date: 3/31/2012 7:58:17 AM | Location : United States

Related Discussions:- What is a purchase return, Assignment Help, Ask Question on What is a purchase return, Get Answer, Expert's Help, What is a purchase return Discussions

Write discussion on What is a purchase return
Your posts are moderated
Related Questions
Allocation surrounding to accounts An aspect of a lump-sum appropriation that is specific for expenses by particular government models and/or for particular requirements, actions,

LAW 2003 Assignment 1 (Winter 2012) 1. Brief the following case: Ragoonanan v. Imperial Tobacco (from pages 587 to 595 of the Ontario Reports) on the document attached online. It’

03 (a) Explain the term capital rationing and suggest the criteria to be used in ranking projects under capital rationing. (05) (b) There are three projects X Y and Z having follow

Limitations of mean

Meaning and solving example using north-west corner in Transportation problem

How has quantitative analysis changed the current scenario in the management world today?

how effect changes in prices to a financial statement?

what are the aims of education